Executives resign in scandal
By ASSOCIATED PRESS
Published November 28, 2006
DALLAS - The chief executive and top financial officer at Affiliated Computer Services Inc. resigned after an investigation found that they manipulated grant dates for stock options, violating the information-technology company's ethics code.
CEO and president Mark A. King and chief financial officer Warren D. Edwards signed separation agreements and relinquished their titles on Sunday. ACS said Monday that both executives would stay as transitional employees through June.
The company immediately named chief operating officer Lynn Blodgett as president and CEO, and it promoted executive vice president John Rexford to CFO.
Dallas-based ACS, which provides back-office services to other companies and government agencies, also said in a filing that it might seek to recover profits it believes former CEO Jeffrey Rich received by backdating stock-option grant dates. Rich served as CEO for six years before resigning last year.